Inside views on the jobs market
from Summit Notebook:
By Neil Chatterjee
The U.S. has promised it will hunt down tax evaders.
And it seems tax evaders are on the run.
DBS bank, based in the growing offshore financial centre of
Singapore, told Reuters it had been approached by U.S. citizens
asking for its private banking services. But when told they would
have to sign U.S. tax declaration forms, the potential clients
Swiss banks also approached DBS on the hope they could
offload troublesome U.S. clients to a location that so far has
not been reached by the strong arms of Washington or Brussels.
DBS said no thanks. In fact many private banks and boutique
advisors now seem to be avoiding U.S. clients.
Will this spread to other nationalities, as governments
invest in tax spies and tax havens invest in white paint?
Is this the end of offshore private private banking?
It’s no secret that the economic downturn is having an impact on the careers of millions of Americans. Just ask Matthew Derra (pictured here), who found himself pursuing a degree in renewable energy after his job at American Axle disappeared.
As the U.S. braces for yet another monthly dismal jobs report, thousands more will be faced with one big question: what now?
Markets might have rallied on relief that the jobs data this morning wasn’t worse than expected, but there’s no getting away from the fact that an 8.5 percent unemployment rate is an ugly number. The March jobs figures showed U.S. employers slashed 663,000 jobs in March. The unemployment rate was the highest since 1983. Here is some reaction from the market:
ROBERT MACINTOSH, CHIEF ECONOMIST, EATON VANCE CORP, BOSTON:
“It’s telling you we’re in a deep recession and it’s still going to be a while to get out of it, especially on the employment side of things. But you have to keep in mind that this is a lagging indicator, we’re going to get bad employment numbers, along with the employment rate, even if the economy is starting to turn.”